25 Most Politically Influential Countries in the World

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In this article, we take a look at the 25 most politically influential countries in the world. You can skip our detailed analysis of how political influence shapes the global economy and go directly to 5 Most Politically Influential Countries in the World.

A country’s political power over other countries allows it to exert its influence on their policymaking as well as rally them towards common causes. Many countries have their local spheres of political influence. For instance, China, India and Russia hold considerable sway regionally, with the US dominating the global political landscape. 

Impact of US Political Hegemony

Globalization has been the most important result of US political influence, especially since 1990. It has been the result of US-led trade liberalization, leading to countries opening up their economies for free global trade. 

Trade openness has grown by 8% for the past 10 years, with 130 countries rising in economic prosperity since 2009. It has been a win-win for the world, with corporations in advanced economies expanding their businesses in developing economies, all the while creating new jobs in the developing world. 

Not only that, a significant percentage of the workforce in advanced economies are involved in industries whose products and services are exclusively used in other countries. 

The figure is 10% for the United States and close to 30% for Germany, per the Organization for Economic Cooperation and Development. The OECD also observes that companies in exporting industry also pay higher than average wages than companies in other industries. 

Further, globalization is also closing the wage gap between advanced and developing economies. Currently, wages for jobs are 2.5 times higher in advanced developed-economies than in advanced developing-economies but owing to factors like trade openness and outsourcing, wages have grown by 8% in advanced developing-region of Asia compared to 1.5% in western countries from 1999-2009, according to Carnegie Endowment for International Peace. 

On the other hand, corporations from advanced countries have grown by an average of 9% for the past decade in emerging economies. 

The US has the second-highest number of Fortune-500 companies operating globally, at 122 as of 2021. The top 5 corporations with the biggest market caps are all American with the exception of Saudi Aramco. 

These include Apple Inc. (NASDAQ:AAPL), Amazon.com, Inc. (NASDAQ:AMZN), Alphabet Inc. (NASDAQ:GOOG) and Microsoft Corporation (NASDAQ:MSFT).

This allows the country considerable leverage in sanctioning other economies like Russia when they violate international law.